I was told there was a formula I could apply to the BOPD to find out how much a well was worth at that point in time. Is there anyone that could help me out and let me know what that formula is?
Jeffrey:
You will need some basic information in order to calculate your royalty amount. These are as follows: The total # of acres in the unit, the total acres you own within that spacing unit, the % royalty, the total barrels oil and the selling price of the oil. One calculator on the web is found in the Mantra Land Services website. Once you pull up their website, click on "resources" at the top, you will find two calculators.....gas calculator on top and oil calculator on bottom, plug in your figures and your calculation will be displayed. There are others on the web but this one happens to come to mind.
Thank you for the info. I really appreciate it!